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INTRODUCTION
INTRODUCTION
PROJECT REPORT
ON
“A Study on Online Buying Behaviour in Fashion and Apparel
Industry”
Submitted in partial fulfillment for the award of
Bachelor of Commerce ( Honours )
(BATCH 2022-25)
Under the supervision of :- Submitted by:
Ms. Aanchal Gupta Aditi Ghai
Assistant Professor Enrollment No. 02212388822
DIAS
Completing a project always requires the support of others and is not usually a
solitary effort. Similarly, I have taken various efforts in this project but this
report could not have been accomplished without the splendid support and help
of many more individuals. I would like to extend my sincere thanks to all of
them.
I am highly indebted to my Faculty Guide Ms. Aanchal Gupta ma’am for her
guidance and constant supervision as well as for providing necessary
information regarding the project and also for her support in completing the
project. Without her critical evaluation and suggestion at every stage of the
Project, this report could never have reached its present form.
I want to express my heartfelt gratitude to our institution “Delhi Institute of
Advanced Studies”, for giving me the opportunity to undertake this project and
enhance my knowledge. Further, I would like to thank my parents for their kind
co-operation and encouragement which helped me in completion of this project.
I would like to express my special gratitude and thanks to all my teachers for
giving me such attention and related knowledge at all times.
My thanks and appreciations also go to my classmates, friends and people who
have willingly helped me out with their abilities.
Last but not least I would like to thank all the respondents for giving their
precious time and relevant information and experience I required, without
which the project would have been incomplete.
Aditi Ghai
Bachelor of commerce (honours)
Enrollment No. 02212388
Exexutive Summary
Online shopping is a process by which consumers buy products online through social
networking sites, which means from a seller in real time. The sale and purchase of products
are directly through electronic devices, though these of online shopping has a lot of threats
or in a way of problems faced people of this era find it easy way of finding the best products.
An online shopping consists of various online shops like e-store, web shop, and online store,
virtual store, which evokes the physical analogy of buying products or services. This process
is called business to consumer. These are Amazon kind of companies. When a business buys
from another business then it is a business-to-business shopping. Online marketplaces can be
named as ebay and Amazon significantly.
A large percentage of electronic commerce is conducted entirely in electronic form for
virtual items such as premium content on a website but mostly electronic involves the
transportation of physical items in some way. Online retailers are sometimes known as e-
retailers and online retail is actual buying behaviour.
Shopping experience is aimed at obtaining needed goods and services as well as hedonic
rewards. The modern consumers are so much different than of traditional ones including the
impact in factors of personal and social. Consumer behaviour research is scientific study of
the process consumers select, secure, use and dispose products and services that they bring
on their likes and wants.
The demographic pattern can vary from different aspects as age, gender, profile, or
occupation accordingly the purchase behaviour may differ from each person. Knowledge of
the consumers differ which also actually effects the market strategy. This is because mainly
of the marketing concept.
This idea refers; the markets actually operate to satisfy the needs and wants. Various
decision-making levels are differed according to the behaviour models. Influencers act as
amplifiers who can reach consumers that are beyond 2 the brand’s owned media channels.
They use creative and innovative methods in order to attract consumers and providing them
the shape and the purpose of the message. Fashion and apparel industries have taken a huge
influence on online marketing nowadays than other industries and this is quite a big
development in the industry.
Online shopping is on the rise every day. There are various advantages of online shopping,
such as time savings, access store from all over the world, it is available 24*7 hours, a variety
of choices are available to compare products and brands.
In addition to the advantages of online shopping, customers feel different forms of perceived
risk factors and psychological factors are involved in online shopping. And it is very
convenient to shop our loved things from a wide variety of stores available on the market.
With the help of a mobile or Laptop we can book anything without any problem.
And in fact we'll get our requested ordered things at our door step. it's easy. Almost a wide
range of things can be brought through online shopping. It is extremely secure. Customer
service is accessible.
Online product became a very important a part of company business scope, no matter their
nature of conducting business as on-line corporations or typical corporations that area unit
however to develop on-line services. Online shopping activity consists of purchasing goods
and services via the Internet (Moshref et al. 2012).
The purchasing process has different steps similar to the physical purchase actions (Liang &
Lai, 2000). Five phases are involved in the usual online buying process. Initially, when a
customer discovers his or her desires for a product or service, he or she goes online and
searches.
After collecting product details, the customer compares the product with other choices
available by selecting an item according to his/her specifications and transaction criteria for
selected items and obtains post-purchase experience (Kotler, P. 2000).
Online shopping activity refers to the psychological state of the consumer when it comes to
making online transactions (Li & Zhang, 2002). Despite the rapid growth in online shopping
and the advantages discussed above, Kim, Lee & Kim (2004) suggested that the search for
customers in the online store does not result in a full purchase or transaction of their actual
needs.
According to Moshref et al. (2012) before buying a product or service on the Internet,
customers expect various forms of perceived danger, such as financial risk (loss of money),
product risk (quality of product as seen on the website), And the possibility of non-delivery
(if the product remains undelivered
Some people might assume that the famous designers have just magically come up with an
idea to make a collection of their own. Yeah, that's true in some cases but it's not true in other
cases. From Sixteenth century the clothes now are very similar in some ways through the
way women wear. The women of the 16th century and the women are not so different today.
The Global Study has confirmed that customers are becoming more price-conscious,
individualistic, and Demand (value, fashion, and quality/price). Study on online clothes
shopping includes factors that inspire and prevent such shopping, Performance and
satisfaction of the websites of apparel.
Factors that hinder online clothing shopping include the failure to try out Apparel and
questions about the protection of credit cards and difficulties in determining the quality of
goods. Factors that motivate online clothing shopping include ease, fun, and fast online
shopping.
Those who have previous online shopping experience, those who are familiar with brands,
and who are looking for online details, are more likely to make online clothing purchases.
Factors influencing the purchasing of clothing are the design, quality, brand and availability
of a wide variety of products and the diversity of clothing found to be positively connected to
online purchases.
Price has been stated to be a key purchasing factor for apparel. In addition, online shoppers
are likely to find the prices of items in online retailers are often lower than those in brick-
and-mortar stores. Discounts are said to have an impact on apparel purchased via
ecommerce.
The early online shoppers from India were influenced by features such as price, brand,
quality and website influenced to shop due to price and discounts according to Gehrt et. al.
(2012). Online shopping is the behaviour of customers to shop online. People who find it
easy to use, useful and enjoyable will take advantage of online shopping.
The acceptance model of technology is used to explain the variables that influence online
shopping. These variables are perceived utility, perceived ease of use and perceived pleasure.
These variables and their effect on online shopping are explained as follows:
Fr
om the point of view of e-shopping, perceived usefulness is the belief of consumers that their
online shopping can improve their efficiency. According to TAM (Davis, 1989), customers
prefer to use the website that significantly affects their results.
According to Zhou et al. (2007), the consumer is likely to improve the productivity of online
shopping and this has a positive effect on the entire buying process. (2001) argues that the
consu Online shopping is the consumers shopping behavior to shop online.
The people who find it easy to use, useful and enjoyable can accept online shopping. Online
shopping has experienced a rapid growth during the recent years due to its unique advantages
for both consumers and 10 retailers, such as shopping at round the clock facilities, decreasing
dependence to store visits, saving travel costs, increasing market area and offering a wide
range of products.
2. Amazon.com
• Amazon.com is an american multinational electronic commerce company with headquarters
in seattle, washington, united states. It is the world’s largest online retailer. The company also
produces consumer electronics – notably the amazon kindle e-book reader – and is a major
provider of cloud computing services.
• Amazon has separate retail websites for the following countries: united states, canada,
united kingdom, germany, france, italy, spain, japan, and china, with international shipping to
certain other countries for some of its products. It is also expected to launch its website in
poland, netherlands, and sweden.
• Jeff bezos incorporated the company (as cadabra) in july 1994, and the site went online as
amazon.com in 1995. Amazon.com started as an online bookstore, but soon diversified,
selling dvds, cds, mp3 downloads, software, video games, electronics, apparel, furniture,
food, toys, and jewelry.
• The company was founded in 1994, spurred by what bezos called his ‘regret minimization
framework’, which he described as his effort to fend off regret for not staking a claim in the
internet gold rush.
• The company began as an online bookstore. While the largest brick-andmortar bookstores
and mail-order catalogs might offer 200, .000 titles, an online bookstore could sell far more.
Bezos wanted a name for his company that began with ‘a’ so that it would appear early in
alphabetic order. He began looking through the dictionary and settled on ‘amazon’ because it
was a place that was ‘exotic and different and it was the river
He considered the biggest in the world, as he hoped his company would be. Since 2000,
amazon’s logotype is an arrow leading from a to z, representing customer satisfaction. A goal
was to have every product in the alphabet.
3. ebay.com
• Ebay is an american multinational internet consumer-to-consumer corporation that manages
ebay.com, an online auction and shopping website in which people and businesses buy and
sell a broad variety of goods and services worldwide. Founded in 1995, ebay is one of the
notable success stories of the dot-com bubble; it is now a multi-billiondollar business with
operations localized in over 30 countries.
Ebay expanded from its original “set-time” auction format to include “buy it now” standard
shopping; by upc, isbn, or another kind of sku; online classified advertisements; online event
ticket trading; online money transfers, and other services.
• The online auction website was founded as auction web in san jos, california, on september
5, 1995, by french-born iranian-american computer programmer pierre omidyar as part of a
larger personal site that included, among other things, omidyar’s own tongue–in–cheek
tribute to the ebola virus. One of the first items sold on ebay was a broken laser pointer for
$14.83. Astonished, omidyar contacted the winning bidder to ask if he understood that the
laser pointer was broken. In his responding email, the buyer explained: “i’m a collector of
broken laser pointers”.
The frequently repeated story that ebay was founded to help omidyar’s fiancée trade pez
candy dispensers was fabricated by a public relations manager in 1997 to interest the media,
which were not interested in the company’s previous explanation about wanting to create a
“perfect market”. This was revealed in adam cohen’s 2002 book, the perfect store, and
confirmed by ebay.
4. Flipkart.com
Flipkart is an indian e-commerce company headquartered in bangalore, karnataka. It was
started by two iit graduates, sachin bansal and binny bansal, in the year 2007. They were
working on amazon.com previously.
Earlier, flipkart mainly dealt with books buy now, it has expanded to electronic goods and a
variety of other products. Initially, they used word-of-mouth marketing to popularize their
company. A few months later, the company sold its first book on flipkart.com- john wood’s
leaving microsoft to change the world.
Today, as per alexa traffic rankings, flipkart is among the top 30 indian websites and has been
credited with being india’s largest online bookseller with over 11 million titles on offer.
Flipkart broke even in march 2010 and claims to have had at least 100% growth every
quarter since its founding.
The store started with selling books and in 2010 branched out to selling cds, dvds, mobile
phones and accessories, cameras, computers, computer accessories, and peripherals, and in
2011 pens and stationery, other electronic items such as home appliances, kitchen appliances,
personal care gadgets, health care products, etc.
Further in 2012, flipkart added a.c, air coolers, school supplies, office supplies, art supplies
& lifestyle products to its product portfolio. Today, flipkart employs over 4500 people.
Park J.H and Lenon S.J (2004) they examined the impact of television
on consumer buying behaviour on fashion and apparel industry. It was
shown that they had a positive relationship between the buying of
apparel because of the television.
Barbara E. Kahn has examined through their professor duty about the
green revolution on various aspects of choosing relation between the
customers.
Akert R.M,Aronson and Wilson T.D(2005) explained concept that, when we hear
fast food the first thing that comes to our mind is the
pizza or hamburger etc. so they defined that the same case is applied
when we think of a toothpaste first that comes to our mind is Colgate
and if in case soft drink coca cola is the first that comes,this concept
where the brand management takes place.
Khare and Rakesh (2011) they surveyed about 325 students of the
local areas of various collages of the country to evaluate the attitudes
of students towards the online shopping, and comparing information
of various groups. Online purchases are driven by the hedonic
factors like power, entertainment and excitement.
Khare at. El (2012) they explored the idea of attitude towards the
old people with social norms that are prevalent several factors of
websites were determined according to the ages of the customers
their change in buying behaviour was also noted.
Ariff et. Al (2013) he intended to find out the impact of using the
online websites for shopping likewise fraudulent acts that is being
done, which got affected of privacy, security, reliability,
transparency etc was affected.
BUYING BEHAVIOUR
The literal meaning of buying behaviour can be defined as the behaviour that buyers produce
in searching, buying, using, evaluating and post purchase disposal of offerings which is
expected to satisfy buyers’ needs. Buying behaviour is one of the most intriguing subjects to
study in the whole marketing.
The central focus of it relies on how individual buyers make decisions to spend their
available resources (time, money and effort) on consumption-related items. That includes
particular to buy, reason to buy, time to buy, place to buy, frequency of purchases and
evaluation process.
The development and growth of Indian economy have helped a ton in the flourishment of
Indian markets. Therefore, buyers are spending a lot on purchasing necessities and
extravagances things. This likewise prompted the rise of different new brands' products
which are tempting the buyers. Indian purchasers are spending a colossal extent of their pay
towards various kinds of goods and services.
This high disposable income also fosters the manufacturing companies to continuously renew
the products being produced by them and bring out the best in products so that the varying
needs of buyers can be satisfied. There are few parts of shopping from shopper's perspective
(excluding logistics etc):
❖ Picking up the item and paying for it - relatively easy and e-commerce does it reasonably
well.
❖ While buying a dress, the site will show a generic sample. The buyer may want to see
dress to check the quality of stitching and workmanship of that specific item, the feel of the
fabric on the skin, comfort of fit etc.
❖ The more emotional or expensive the purchase is, the more buyer may want to see it /
experience it in person - compare shopping for a weddingdress with mother and friends (high
emotional investment) vs. shopping for a toner cartridge (hopefully low emotional
investment).
From marketing perspective, understanding the needs of the potential buyer can help to focus
the marketing effort to better demonstrate how the product or service will meet buyers’
particular needs.
➢ Demographical and personal factors: Demographics are important part of the buying
behaviour and play major and dominant role.
Demographics help to qualify the opportunity for the concerned business format and are one
of the major determinants which shape and determine the buying behaviour at large. Age,
gender, marital status, education, profession, family status etc comprises the demographics.
➢ Technological Factors: These factors play vital role in the decisionmaking process while
shopping online. In e-format of shopping since all the giants are giving ‘deal’ or 'price' to
make buyers conscious.
Technological aspects like; website features, design, user friendliness, virtual fitting etc
could set the benchmark and boost the online shopping and apparel as buying category over
this format.
➢ Socio-cultural factors: Social factors like a reference from family, friends, colleagues or
other concerned group and interaction over social platform comes under these factors in
online apparel shopping. Cultural factors like; festival bonanza offer, Christmas or new year
sale etc are culture influenced features which impact online apparel buying behaviour in a
virtual format.
➢ Legal factors: Laws and regulations related to online format, consumer’s rights, etc is
considered under the legal factors influencing online buying behaviour.
ONLINE SHOPPING
In the dot-com era, the online shopping is a rising phenomenon. The revolutionary changes
have been witnessed by the Indian retail market. Online shopping has come up with huge
opportunities for both marketer and buyers but yet it is in the infant stage.
The consumer in today’s competitive era is the most important component that is required to
be understood by all the marketers in order to gain a successful position and market share. In
such changing circumstances the world of online shopping emerged as a great platform to
attract the buyers from all over the world.
The consumers are taking active participation in varied activities in order to make their
opinion, provide suggestions, etc. However, the process of decision making in relation to the
needs and requirements of the consumer has completely changed due to the introduction of
the new web portals.
This, in addition, has dramatically increased the use of the online shopping trends that further
has led to greater efficiency and effectiveness. The use of internet has significantly enhanced
in India. With the changing scenario, many new consumers are using internet as they find it
more convenient and time saving than the traditional format of shopping.
India is emerging as one of the most successful economy with regards to the use of the
internet. Indian e-commerce has such potential because it can bring changes more reflective.
The operations and conduct of the Indian economy emerged as a great booster for the
financial development.
E-commerce supports in enhancing the infrastructure and cover the vast geographical area of
Indian Economy.
With the assistance of the e-commerce facilities, the Indian buyers are able to make their
purchase from all over the world leading to better and appropriate network. Web platform
provides a great assistance to the business corporate of India to make their trading abroad and
enhance their level of operation.
Thus, in relation to the use of the internet, the Indian economy is moving at a very high pace
leading to the better position of the Indian market in the overall world. Keeping this into
consideration not only the large corporate houses are making use of the internet but general
retail stores are also upgrading their operations and enabling the buyers to make their
purchase through online mode.
Internet and online format have paved the way for sellers to grasp more market share,
improved customer communications and solutions, varied product lines, improved cost
efficiency, enhanced customer relationships and customization in efforts. Buyers have taken
these hands in hand and responded in a positive manner. This has motivated online retail
sales to touch an upward trend and will continue in such manner in future as well.
❖ Fashion Involvement
❖ Rapid Urbanization
❖ Globalization of Industry
❖ E-tailing of Apparel
❖ Organized Retail
B. Psychological Factors :These are internal to an individual and generate forces within
that influence her/his purchase behavior. The major forces include motives, perception,
learning, attitude and personality.
C. Personal Factors These include those aspects that are unique to a person and influence
purchase behavior. These factors include demographic factors, lifestyle, and situational
factors.
ADVANTAGES OF ONLINE SHOPPING Online shopping is a form of electronic
commerce whereby consumers directly buy goods or Services from a seller over the Internet without
an intermediary service.
Easy to Find: Finding a product online is much easier than looking for it in the
local store. You can search any product easily by using the search engine feature of
an online shopping website. But in store you have to look for it until you find it.
Freedom of choice: Freedom of choice is very high in online than shopping from
a nearby store. In online you can choose the product you are looking, from a vast
range of products.
Freedom of price flexibility: You will enjoy the freedom of price flexibility. If
you don't like the price of a product from an online shop, you can switch to other
online store to look for cheaper price.
High satisfaction percentage: Now a day shopping online is very reliable. The
percentage of satisfaction is very high.
Rare product: Shopping online is very useful in buying rare products. Privacy:
There are some products which you don't want to buy publicly. You can buy any kind
of product from online web store anonymously to maintain your desired privacy.
Delay: The main disadvantage of online shopping is, you cannot receive the product
immediately. You have to wait until the product arrives. Sometime it is better to have
an item instantly than keep waiting for it for many days. I would prefer to buy an item
instantly if the delivery time is too long.
Inferior product: You don't know about the actual quality of the product.
Sometimes the description of the product might be different than the actual product.
As a result you might end up with inferior quality product.
Shipping Charge: Shipping charge and shipping delays are one of the main
disadvantages of shopping online. Items are generally cheaper in online web store.
But sometime the addition of shipping charge makes the price similar or more
expensive than your nearby local store.
Delivery Problem: Sometime you may face Delivery risk. Delivery risk occurs
when the seller fails to deliver the original product or delivers a damaged
(inferior/duplicate) product due to shipping problems.
Shopaholic: Since it is very easy to search & purchase different items very easily
and quickly from online, many people ends up being an online shopaholic. That
means they buy too many things they actually don't need. Online Shopaholic people
thinks they are saving money because the cost is very low when you shop from
online, but sometime it's actually a waste because you don't need them.
Spam: As online shopping is becoming very common the number of online scam
and fraud is also increasing. This is why a buyer should always buy from trusted
websites only because trusted websites would take care of any fraud to maintain their
reputation.
Some items are better to buy from the real Store: You wouldn't like to
buy any clothing products because you won't be able to know whether they are going
to look good on you or not.
Miscellaneous trouble: There are some other rare disadvantages such as credit
card fraud, spyware
Chapter:- 5
Data Analysis &
Interpretation
Analysis & Interpretation
Chapter:-6
Findings and Conclusions
FINDINGS.
A. It was found that most of the respondents are from the age group of 18- 21and the
least group was from 14-17. From this we can understand youth are most users of
online shopping.
C. 3. The survey conducted showed that most of them feel that there is no accuracy of
information.
D. . Many people have started online shopping which proves to be in the table
representing that they use online shopping by more than one year and some of them
has started recently.
E. Many of the people shows the opinion that price in online is fair and also some of
them are of opinion that they are lower than the real.
F. People feel safe in online shopping as it shows in the table, only a few people think it
as unsafe.
G. People think that change in technology has a drastic change in overall by making
easier, and the least only think as not helpful.
J. Most of the people believe online provide better service, safe delivery and avoids
risk.
K. . People think that similarity in what received and shown are somewhat similar.
L. The defect goods are received sometimes by people but not always.
M. People think that online products are very much affordable and fair which makes it
people in making use of it.
N. People were surveyed whether fashion and apparel where suitable in online
purchasing and the response was positive, people agree that they are best in some
way.
O. Most of the people feel that there is quality in the products purchased online.
P. Most people were satisfied in the online shopping as it shows in the surveys only
some people find it neutral
CONCLUSION
It is concluded from the findings that Time saving, wide variety of product
availability, suitability, quality of products available online, etc are important
factors that affect online buying behaviour of consumer in fashion and apparel
industry. Along with these the factors like age, gender, etc also significantly
impact the online apparel buying behaviour and e-marketers can utilize these
factors for their benefits.
Considering significant importance of the objective of the study and based on
notable key findings, the study will make a contribution towards a
comprehensive understanding of the Indian organized apparel retail market. The
study can be a great help to retail industries, academicians, business school
students, researchers, etc.
The findings from this study will improve the competitiveness levels of
organized apparel retail industries and stores which will be beneficial for the
consumers. Since the important element of visual merchandising was not found
to affect consumers much while buying apparels, retailers need to plan the
strategies and make effort to improve visual 13 merchandising. The research
findings will help the apparel retailers to understand the factors influencing the
consumer buying behavior in order to enhance the marketing plan in future.
The purchase intention of consumers is influenced by attitude variables. The
consumers enjoy shopping mostly with their friends and family members. They
are influenced by their friends, family members, celebrities, magazines etc.
Quality, comfort, brand are the main criteria’s which effect their buying
behavior towards fashion apparels. Even all the demographic factors like
gender, age, occupation and monthly income don’t have any impact on buying
behaviour of consumers towards fashion apparels.
Chapter:-6
Limitations and recommendations
Limitations
Any number of examples can be given but such claims sometimes even by big
companies are only partially true. High priced products are introduced to take
advantage of consumers weakness just by changing shape, packing etc.
Customers are attracted by gifts, lotteries, exchange schemes, etc.
In such cases often claims are exaggerated and benefits in the form of sales
promotion scheme is only to seller and not to buyer. The government in most of
the countries has found that though consumer is the king he is exploited. Hence
most of countries have framed and enacted many acts and regulations to safe
guard the interest of consumers.
In India also there are a large number of laws in this direction like Monopoly
and Restrictive Trade Practices Act (MRTP)., Essential Commodities Act.,
Consumer Protection Act, compulsory printing of maximum retail price on each
packing, weights and Measures Act and Code of Advertising.
Suggestion
The online marketers can take steps to ensure more safety and
privacy to their customers in order to avoid hesitation in doing
online shopping because of safety issues.